How Big Data Analytics Is Improving business performance in Logistics

The globalization of everything, including the shippers, the change in customer behavior and in the organization of the supply chain, the competitive trade routes, and low freight rates: all are just a handful of the challenges that the logistics sector has to face every day. The logistics sector is undergoing a major transformation with a complexification of regulatory laws, emission concerns, and the rise of new technologies. Optimizing routes, giving more transparency to the supply chain, streamlining factory functions: the advantages of logistics analytics software are plentiful, but they try to answer an always-increasing amount of challenges, brought by the disruption of this industry. In the supply chain industry, data analytics comes to the rescue as there is reliance on many moving parts, potential bottlenecks at any point of the supply chain, and bonds & reliance on third-party companies.

Managing to leverage logistics analytics and optimize their business processes will help the supply chain and the logistics to create more value while keeping the costs of operation low, by making better-informed business decisions concerning their strategy. This sector is hence a good place to use logistics analytics software when looking for a competitive advantage.

To benefit from these assets, it is important to exploit any untapped data you still have and strengthen operational efficiency. This can simply be done by using effective logistics analytics software that will enable sustainable supply chain development and success. Big Data in logistics is revolutionizing the sector, and by taking advantage of the various applications and examples that can be used to optimize routes, quicken the last mile of shipping, empower transparency, automation of warehouses and the supply chain, the nature of logistics analytics can be streamlined faster than ever by generating insights with just a few clicks. The customer experience will also be strengthened, resulting in greater customer loyalty and thus retention. Finally, the implementation of more effective business models will lead to better revenue generation.

leveraging Data Analytics in a logistics/Supply chain organization

  1. Solving inefficiencies and ensuring operational standards are respected by tracking any metric along the supply chain. Performance managers transform data insights into actionable results, such as the optimization of resource consumption or delivery routes. For instance, shippers expect drivers to arrive on time, maintain docking schedules, and avoid wasted time. Data can help us to understand and monitor the performance of the workforce. It can also highlight when and which machines are performing poorly, allowing managers to intervene quickly. When the data is shared among partners, it can be used to improve the efficiency and transparency of the whole supply chain or network of partners.

2. Real-time data sharing with all partners is essential. The insights that a company gathers are useful both for a logistics company and for its partners. This type of data sharing in logistics can help improve operational efficiency by capturing fluctuating customer demand, external factors, and the operations of the partners. It will enhance transparency and help all stakeholders to streamline their processes, ultimately improving the quality of operational processes, and the overall performance of the logistics business.

3. Having accurate, efficient data integration into the processes frees up additional space for the entry of new orders. Ultimately, this leads to more orders being shipped, which further drives demand for the services within the supply chain. As a result, a business improves, and the amount of data in logistics grows to reveal problems within the existing processes.

4. Thanks to real-time GPS data, weather data, road maintenance data, fleet, and personnel schedules integrated into a system looking at historic trends, the most optimized routes and times are selected for delivery. Improvement of visibility and order-to-cycle processes: logistics sector is using data to boost the speed of delivery and provide customers with real-time visibility over orders. Consumers expect shipments to be fast and easily trackable. Analyzing data to improve these operational aspects continuously leads to better-quality partnerships and increased customer loyalty.

5. Advanced analytics is applied to optimize operations in pricing, routing, and partial load shipment consolidation. As for the customer experience, the digital front end provides customers with a problem-free experience and improves internal operational visibility, automating previously manual processes. Automation of core internal business processes will surely simplify labor-intensive logistics operations.

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